Valeant may delay its annual report even further

Valeant Pharmaceuticals may postpone filing its annual and
quarterly reports even further.

As previously announced, it intends to file its annual report by
April 29. And in a statement Wednesday, the embattled
pharmaceutical company asked its lenders to agree to waive a
condition that would break their covenant if it filed
late.

Valeant is looking to extend the deadline for its annual report
to May 31, and push its quarterly 10-Q commitment further out to
July 31 if it can't make both deadlines.

These postponements would give it relief on its line of credit,
should it miss the filing deadlines it previously had.

Valeant had said it would be at risk of a $30 billion
default if it was late.

"The Company is comfortable with its current liquidity
position and cash flow generation for the rest of the year, and
remains well positioned to meet its obligations," it
said.

Valeant Pharmaceuticals International, Inc. (NYSE: VRX and TSX:
VRX) today announced that, as anticipated and consistent with its
previously disclosed intention, it has launched the process to
obtain an amendment and waiver to its credit facility.

Pursuant to the proposed waiver, the Company is seeking to extend
the deadline for filing its Form 10-K to May 31, 2016 and to
extend the deadline for filing its Form 10-Q for the quarter
ending March 31, 2016 to July 31, 2016. While the Company
is working diligently to file its Form 10-K and Form 10-Q, these
extensions provide relief under the credit facility in the event
the Form 10-K is not filed by April 29, 2016 and the Form 10-Q is
not filed by June 14, 2016. In addition to the extensions,
the proposed waiver would also waive the cross-default to
Valeant's indentures that arose when the Form 10-K was not filed
on March 15, 2016. The proposed waiver and amendment must be
approved by lenders holding more than 50% of the Company's loans
in principal amount.

While seeking these waivers, the Company is also asking its
lenders to amend, among other things, the interest coverage
maintenance covenant and certain financial definitions which
would provide additional cushion in its financial covenants. The
terms of the proposed amendment will restrict the Company's
ability to make certain acquisitions and other investments and to
pay dividends and other restricted payments until the financial
statements are filed and the Company achieves certain leverage
ratios. While these restrictions are in place, the Company
will also be required to apply substantially all net asset sale
proceeds to prepay its term loans.

The Company is comfortable with its current liquidity position
and cash flow generation for the rest of the year, and remains
well positioned to meet its obligations.

Since the filing of the Company's 8-K on March 21, the Ad Hoc
Committee of the Board of Directors has continued to make
progress and is now nearer to completion. While the Ad Hoc
Committee has not concluded its work, the Committee has not to
date identified any additional items affecting the Company's
financial statements.